Saudi energy company ACWA Power has signed a Memorandum of Understanding (MoU) with government entities of Thailand to establish large-scale renewable-powered green hydrogen and derivatives production facilities at an investment of $7 billion, a press statement from Thailand's national energy company PTT Public Company (PTT) said.
The project targets to produce 225,000 tonnes per year of green hydrogen, equivalent to 1.2 million tonnes of green ammonia per year in Thailand for local energy consumption and for exports globally.
The MoU was signed between ACWA Power, PTT and state-owned electricity enterprise Electricity Generating Authority of Thailand (EGAT).
The parties will now be commencing the feasibility study for the project, the statement said.
Thailand is aiming to achieve carbon neutrality by 2050 and net zero emissions by 2065.
Another MoU inked between EGAT, and Ministry of Investment of Saudi Arabia (MISA) covers collaboration on energy transition, EV ecosystem, operation and maintenance service, and other related operations to achieve decarbonization, EGAT said in a separate press statement.
The Saudi-Thailand energy pact inked covers petroleum, hydrogen, carbon capture and storage, renewable and low-carbon technology.
Earlier this month, PTT signed an MoU with Saudi Ministry of Investment (MISA) for exploring and expanding its petrochemicals business in Saudi Arabia.
(Writing by Sowmya Sundar; Editing by Anoop Menon)